After the course, you will:

1. Describe the importance, purpose and activities in inventory management and control in relation to supply chain and the business at large;
2. Apply the different methods and tools used in the proper planning and control of inventory, for better cost and service level optimization;
3. Analyze and formulate recommendations on how to improve current practices in inventory management; and
4. Identify applicable inventory management performance measures.

• Introduction
  • Supply chain management
    • Supply chain management definition and process
    • Four pillars - inventory and replenishment
  • Inventory in the chain
    • Rationale for inventory                 
    • Cycle stocks
    • In transit and work in process inventory
    • Safety stocks
    • Seasonal and anticipatory stocks
• ABC Analysis
  • Pareto's law
  • Value of inventory
  • Usage value computation
  • Steps in ABC analysis
  • Classification rules
• Inventory Costs
  • Definition and impact to customer service
  • Capital costs
  • Storage costs
  • Inventory risks costs
• Economic Order Quality (EOQ)
  • Cost of inventory
  • Elements of EOQ
  • Average inventory and carrying cost
  • Ordering cost
  • Total cost and EOQ formula
• Safety Stock Determination
  • Definition and need for safety stock
  • Methods of computation    
    • Estimation of variability 
    • Service level approach 
    • Computation of stock-out penalty
• Inventory Control Systems
  • Cyclical or fixed order interval system
  • Visual review system
  • Order point or fixed order quantity system
  • Two-bin system or last bag method
  • Flow control system
  •  Advanced inventory control systems - Materials Requirement     Planning (MRP) and Just-in-time (JIT)
  • Vendor managed inventory
  • Quadrant model
  • Square root rule for multiple locations
• Physical Count System
  •  Annual physical
  • Cycle count
• Performance Measurements

Antonio Kent M. Valderrama, C.P.M., DSM

Kent started his professional career in the practice of Logistics and Supply Chain Management in 1984.

He is currently involved with the following companies and organizations; Board of Directors of BizSolv Asia, Executive Director of Macrolite group of companies and a Board member of the Supply Management Foundation (SOFSM), the foundation arm of the Philippine Institute for Supply Management (PISM).

He is the Program Director of Supply Chain Management for the Ateneo Graduate School of Business’ Center for Continuing Education. He also conducts regular courses in Supply Chain Management at the De La Salle’s College of St. Benilde San Beda College Alabang and University of Asia and the Pacific.

In the past, he has held various corporate positions in the following companies. He was the Logistics Director of Jollibee Foods Corporation, Vice President, Warehouse and Distribution Division of GeoLogistics Corporation, Director for Operations and Logistics of Shaklee Philippines and Logistics Manager of San Miguel Corporation’s Metal Packaging Business.

He is a Certified Purchasing Manager (C.P.M) from the Institute for Supply Management and a Diplomate in Supply Management from the PISM. He is also the Philippine Country representative for the Supply Chain Asia organization based in Singapore.